The State Bank of Vietnam (SBV), in Hanoi on July 7, officially announced the Decision on mandatory acquisition of all stakes of the Global Petroleum Joint Stock Commercial Bank (GP.Bank) and turning GP.Bank into the One Member Limited Liability Global Petroleum Bank under the state ownership; at the same time, announced Decisions on appointing key positions of the One Member Limited Liability Global Petroleum Bank.
At the ceremony, the SBV representative said that over the past time, the GP.Bank showed much weakness in its operations with many potential risks, business loss, negative equity and ineffective banking management. Therefore, in order to control the risks, minimized asset loss of the GP.Bank, the SBV decided to put the GP.Bank under the special control in line with law.
Based on Law on Credit Institutions, Decision No.48/2013/QD-TTg dated August 1st, 2013 on the capital contribution, mandatory acquisition of the stakes of credit institution under special control and the directions of the Prime Minister, the SBV issued Decision No.1304/QD – NHNN dated July 7, 2015 on making mandatory acquisition of all stakes of GP.Bank at the price of VND 0 per share, terminating entire rights, interests and shareholder status of all GP.Bank shareholders; at the same time, turning GP.Bank into the One Member Limited Liability Global Petroleum Bank under the state ownership.
The One Member Limited Liability Global Petroleum Bank is responsible for receiving all legitimate rights, obligations and interests of the GP.Bank; revising its Charters in line with law; adjusting structure and organization in accordance with Law on Credit Institutions and relevant regulations; registering and re-registering the asset ownership; and making other adjustment in accordance with relevant laws.
Moreover, the SBV issued Decision No. 1305/QĐ-NHNN on revising License of GP.Bank. Accordingly, the name of GP.Bank in License No. 0043/NH-GP dated November 13, 1993 is changed as the One Member Limited Liability Global Petroleum Bank (Global Petroleum Bank). The Global Petroleum Bank is required to comply with Item 4 of Article 29 of Law on Credit Institutions.
Also on the same day, the SBV issued Decision No. 1306/QĐ-NHNN to require the Vietnam Joint – Stock Commercial Bank for Industry and Trade (Vietinbank) to participate in the management of the One Member Limited Liability Global Petroleum Bank. Accordingly, Vietinbank is responsible for complying with Article 11 of Decision No. 48/2013/QĐ-TTg dated August 1st, 2013 on the capital contribution, mandatory acquisition of the stakes of credit institution under special control and the SBV directions.
In addition, the SBV announced Decisions on appointing key positions of the One Member Limited Liability Global Petroleum Bank. Accordingly, Ms. Tran Thi Le Nga, representative of GP.Bank, is appointed as the Chairwoman of the Board of Members; Mr. Pham Huy Thong, a member of the Board of Directors –cum – Deputy General Director of the GP.Bank, was appointed as a member of the Board of Members – cum – General Director; Mr. Le Manh Thang, Deputy Manager of Internal Audit Division of the PVcomBank, is appointed as Head of the Board of Control of the Global Petroleum Bank.
Speaking at the ceremony, Deputy Governor Nguyen Phuoc Thanh said that the SBV’s mandatory acquisition of all stakes of GP.Bank and turning GP.Bank into the One Member Limited Liability Global Petroleum Bank aim at helping the SBV to proactively restructure the GP.Bank, thereby ensuring the prudent banking sector and contributing to social safety. He asserted that all legitimate rights and interests of depositors at the GP.Bank will continue to be guaranteed in accordance with law.
The SBV Deputy Governor required the One Member Limited Liability Global Petroleum Bank to urgently implement relevant workings in order to continue restructuring the bank, especially formulating the overall restructuring plan. He also required all new Management Board and the staff of the Global Petroleum Bank to closely coordinate to resolve difficulties for the bank’s stable and effective development in the coming time.
The representative from the Vietinbank affirmed that Vietinbank will continue to provide maximum supporting resource to help the One Member Limited Liability Global Petroleum Bank overcome difficulties and operate effectively.
In her statement of gratitude, Ms. Tran Thi Le Nga promised that she and her staff will do their best to accomplish the assigned tasks in order to contribute to the effective operations of the One Member Limited Liability Global Petroleum Bank.
DH